College starved of cash shuts award winning training restaurant

A college has been forced to shut the doors of its prestigious restaurant, blaming years of government cuts to further education funding.

Lancashire-based Runshaw College announced today its award-winning Foxholes Restaurant in Leyland is to close after running for more than 30 years.

The restaurant functioned as a training centre for future chefs and catering students, and its success led Runshaw College to be the first college to be awarded the AA College Restaurant of the Year.

Foxholes was also one of few college restaurants to hold industry awards from the Hospitality Guild, Gold Accreditation, and the AA Rosette for highly commended cuisine.

The college currently holds an ‘outstanding’ rating but has not received a full Ofsted inspection since 2008.

A statement released by the college explained the costs of running a training restaurant were “extremely high, so it is with enormous sadness that we will be closing Foxholes due to nine consecutive years of government cuts to FE funding in England”.

Last year, Runshaw College generated a deficit before tax of £2.3 million, compared to £273,000 in 2016/17. However, its income stood at £27.1 million (£27.8 million in 2016/17).

The sharp increase in its deficit was explained by the one off payment of £1.8 million it made to “buy out its leases commitments” from its campus in Market Street and the sale of its investment property in December 2017.

The college’s board had previously addressed concerns that the buyout could have an adverse impact its accounts.

Minutes from a meeting last year said an email had been received from the ESFA confirming “moderation with regard to the Market Street lease costs should this lead to an inadequate [financial] rating”.

In the same meeting, the college said the income allocation received from the ESFA was less than originally anticipated, and that an initial assessment had indicated that £330,000 of pay cost savings would need to be made.

Following the decision to close the restaurant, a college spokesperson reassured its students by saying it will be continuing to offer a full-time Level 2 chef training course to students aged 16-19 at its Chef School and will also be continuing to train apprentice chefs at “a wide range of restaurants, hotels and other organisations in our local community”.

He added: “We will of course continue to campaign for fairer funding for the FE sector and members of the public can express their support for this campaign by Tweeting, using the #LoveOurColleges hashtag.”

The spokesperson thanked “students and staff for their exceptional skill and dedication, helping Foxholes to be consistently rated as the number one restaurant in Leyland”.

A review posted in the restaurant’s Facebook page a few months ago read: “Local students learning the trade, such quality and talent to be had. I am sure you will see some of them as TV/Celebrity chefs one day.”

The restaurant also had a five-star rating and Certificate of Excellence on Tripadvisor.

Hinds ‘pleased’ with level 6 and 7 inspection approach but OfS can’t say what it is

The Office for Students can’t say how it will assess level 6 and 7 apprenticeships delivered at non-registered HE providers, even though it’s meant to start the work imminently.

As revealed by FE Week on Friday, the government has opted to give the job to the higher education regulator despite the Augar Review recommending it should be Ofsted.

In a letter published on Monday, education secretary Damian Hinds said he was “pleased” the OfS has “developed an approach to the quality assessment of level 6+ apprenticeships delivered by non-registered providers and that this will be implemented during this academic year”.

“This should result in a robust regime that measures high quality on and off-the-job training and tackles poor performance,” he added.

We will review the success of this approach later in the year

“You should work closely with Ofsted on this approach given their responsibilities for assurance of other apprenticeship provision and their experience in this area.”

FE Week asked the OfS for details of the assessment “approach” it has developed, such as whether it would be similar to Ofsted inspections, but it could not provide details.

A spokesperson could only say: “This only affects a small number of providers that offer higher-level apprenticeships that don’t contain either a full bachelor’s or master’s degree.

“We have committed to starting the first reviews over the summer and will focus on the largest providers first, ensuring that the maximum number of apprentices are captured. We will continue to work closely with Ofsted to benefit from their expertise in inspecting apprenticeship provision.”

Hinds’ letter said the outcomes of the OfS’ quality assessment reviews should be “transparent” and enable apprentices, employers and the DfE to identify where providers are not delivering high quality training.

“This will allow the department to take appropriate action where poor quality training is being delivered,” he added.

The DfE and OfS will review the approach later in the year to “make sure it is effective”.

FE Week was first to reveal in November that firms offering higher level apprenticeships without a prescribed HE qualification, such as a degree, had nobody checking their quality of delivery if they weren’t on the OfS’ register of higher education providers. Ofsted’s remit only extends to level 5.

Ofsted chief inspector Amanda Spielman expressed her deep concern at the issue during an interview with FE Week in March, where she said: “I very much hope people will see the logic in us doing it.”

The OfS’ approach to regulating apprenticeship quality at providers on its register is very different to Ofsted’s.

The higher education watchdog employs a “risk-based approach to quality assurance defined by a high-quality threshold for entry and regulates all provision at all providers on the OfS Register,” a spokesperson previously told FE Week.

“Providers who are accepted on to the register will have met a high threshold for quality and standards and will be monitored on an ongoing basis to ensure that quality is maintained.”

The Quality Assurance Agency then conducts external annual provider reviews of HE institutions for the OfS, including those that deliver apprenticeships.

But these are not official inspections of the type Ofsted conducts. They do not result in, for example, inspection reports with grades.

‘There’s more than one way to be a gen sec’: New UCU boss up for the challenge

The new University and College Union boss has backed herself to successfully lead the organisation despite never having run an organisation before, saying “there is more than one way to be a general secretary”.

Dr Jo Grady, a former student at Wakefield College, was announced as the new leader of the UCU last month, having been elected with 64 per cent of the vote on a record turnout of 20 per cent.

She defeated the UCU head of policy and campaigns Matt Waddup and the president of the University of Liverpool UCU branch Jo McNeil to the job, which came with a salary of £107,448 in 2018.

Grady will be taking a leave of absence from her role as a senior lecturer in employment relations at the University of Sheffield once she becomes general secretary in the
summer.

Her background sets her apart from the previous UCU leader, Sally Hunt, who retired due to ill health in February after having served as a general secretary since 2002, firstly of the Association of University Teaching, then of its successor organisation, the UCU.

Grady, meanwhile, has a less prominent track record, having served on the union’s national disputes committee for the universities pension scheme, and as a co-branch secretary for Leicester UCU and as pensions officer for the Sheffield branch.

However, she insisted she is not disconcerted by becoming general secretary of the union that has around 200 staff and 120,000 members, saying: “Yes, it’s a responsibility and a privilege to become general secretary, but I’m not daunted because I think I have been elected with a big mandate and increased turnout by members who are eager for change.”

On what qualifies her for the role, Grady said she had been on the frontline of delivering education, and to reach her current position she had to gain experience of managing budgets and people, and negotiating changing structures.

All of this has helped her develop the skills of diplomacy, organisation and communication that are “essential” for a general secretary.

“The general secretary is more than just a manager of a large organisation, they are the head of the union and I think that’s an important and serious political role,” she said.

Grady, 35, who has been described as the grassroots candidate, said she was “comfortable” working with the community of politicians and government departments, as well as university and college management.

Asked how her leadership approach would differ from Hunt’s, Grady said she wanted to break down silos and bring in a more “inclusive” way of doing things.

The general secretary is an important and serious political role

A lot of members had felt “dislocated” from the decisions the UCU had made, she said, and it had been “really difficult to feed into what the union is doing”.

When she successfully ran for the national committee, members had thanked her for explaining what the national committee does for them.

Until you become a general secretary, you do not have the experience of being a general secretary,” but “there is more than one way to do that job, and ways to make sure you do see your membership a lot and speak for your membership a lot.”

She wants to bring in the experiences of “sidelined” members, such as those who work as casual staff, by making the union more inclusive and transparent, through publishing
minutes from the national executive committee and setting up task groups on issues such as the hostile environment and migrant members.

Her specific priorities for the further education sector include trying to get more funding to spend on classroom teaching, rather than on new buildings, and tackling everyday racism in colleges. She said the latter could be seen in the case of Dave Muritu, who was suspended as a lecturer at Sandwell College after writing the word “Racist” on a poster  or the Prevent strategy.

Grady said if he had been dismissed after apologising for defacing the poster it was difficult to see the college’s decision as anything other than “victimisation of a trade union officer”.

She is hoping to meet Muritu at a demonstration outside the college this week, after members threatened to strike if he was not reinstated.

Tapping into that belief in solidarity among union members was something Grady said was part of the secret of her success.

“When you directly campaign with and to people, when you are honest about what you are asking them to do… that involves raising expectations of what we can achieve and not just accepting the managed decline of our sector, people respond to that.

“It’s a really exciting time for the union and there’s no reason to be daunted. I think this election really shows everyone is pulling together,” she concluded.


What Jo Grady’s manifesto promised to do for FE

  • Subscription reform – Grady wants to introduce special rates for workers who do not have a fixed monthly income and consider ways to make membership more affordable for people who work in further education, to rebuild its membership in that area.
  • Capping her own salary increases – Grady has promised to ensure her salary does not increase any higher than the most recent national pay offer in further education.
  • Fighting fund – Grady has promised to donate a portion of her salary to the fighting fund, which is used to support members through strike pay, for example. She will also publish the amount she has donated.
  • Hostile environment – Grady has pledged to set up a dedicated task group to look into surveillance and security issues at colleges and universities; this is in response to initiatives such as the “right to work” checks on non-EU staff and students.
  • Grady will appoint national “branch coordination” officers for anti-casualisation, to tackle insecure employment.
  • She also wants to weight pay claims more progressively, in favour of the lowest-paid staff.
  • Grady wants to create positions for specialist, full-time equality casework officials.
  • She believes the national bargaining frameworks should be expanded to include issues such as sexual harassment and transgender rights, and maternity and paternity rights.

Queen’s birthday honours 2019: Who got what in FE and skills?

Eight leading figures from the further education sector have been recognised in the Queen’s birthday honours.

These include five OBEs, one CBE, an MBE, and a British Empire Medal – but no knighthoods or damehoods.

One of this year’s recipients, Milton Keynes College principal Dr Julie Mills, said it was “great FE is being recognised in this way,” in an era when the post-18 education Augar Review has shown the impact FE makes.

Mills is being awarded an OBE for services to promoting business and education links, which she called “brilliant”.

“That’s absolutely what we do and that’s certainly something I’ve worked really hard on across the whole college,” she explained.

Milton Keynes College is one of 12 providers which were announced by the DfE in April to have been picked to open an Institute of Technology, which are intended to bring FE and HE together with employers to specialise in delivering higher level technical training at level four and five in STEM subjects.

The grade two college also runs employment academies as part of its programme of prisoner education – the college has worked with offenders inside and outside prison walls for 27 years, and Mills herself has worked on the programme in the past.

Julie Mills

She described the college’s relationship with employers as: “Not just about consulting employers, but getting them in and part of the student’s experience.”

A former Barnfield College learner, Mills originally started working for Milton Keynes College in 1990 and has been principal and chief executive since 2011.

FE Week Annual Apprenticeship Awards judge Anna Morrison is being awarded a CBE for services to apprenticeships.

Her company, Amazing Apprenticeships, works to inform schools and students about the apprenticeships system, through the Apprenticeship Support and Knowledge for Schools and Colleges programme.

The chief executive of the Association of Employment and Learning Providers, Mark Dawe, said Anna’s “tireless work” has been a major factor in getting more schools to take their obligations about offering impartial careers guidance more seriously.

After starting her FE career as a receptionist at North Herts College 20 years ago, Anna said: “It’s incredible and so amazing for us.

“I’m so proud of everything I’ve been able to achieve and it adds so much credibility to our work with schools and parents, going forward.”

The principal of the ‘outstanding’ rated Redbridge Institute, Joni Cunningham, has also been awarded an OBE for services to adult community learning in London and Essex.

She said it was a “privilege” to work in the FE sector, where she has fulfilled a number of roles at colleges such as Harlow, as well as at the Norfolk Education Authority.

On her current work in adult community learning, she said: “I’m proud of our whole service and staff and learners and what we have achieved together.

It’s great FE is being recognised in this way

“It’s a public recognition of the vital work we do in adult education, supporting some of the most disadvantaged learners in our community, helping them to achieve their potential and succeed in their lives.”

The chair of the Electrotechnical Trailblazer Apprenticeship Development Group, David Barlow, is also set to receive an MBE for services to apprenticeships and business.

In addition to his trailblazer work, he helps promote apprenticeships in Warrington and Cheshire.

Anna Morrison

He said the honour was a “tremendous privilege” after initially getting in to the FE sector when he hired more apprentices to grow his business, Barlows Electrical.

“It’s great to see young people given a chance,” said Barlow, who also works with the University of Chester on its higher apprenticeships programme.

Also recognised in the Birthday Honours List is the former deputy chair of WorldSkills UK, Pablo Lloyd, who is receiving an OBE for services to that organisation.

The CEO of World Skills, OBE winner Dr Neil Bentley-Gockmann said the award recognises “the outstanding leadership contribution Pablo has made to our organisation over many years”.

The chair of the Bell Group, George Bell, is also set to receive an OBE for services to apprenticeships and charity fundraising.

Pablo Lloyd

The list also includes an OBE for Vickie Mottram, the head of apprenticeships for Her Majesty’s Revenue and Customs.

Mary Chapman is being given a British Empire Medal, for services to adult education in Rochester and Medway, after teaching ceramics to adult learners over 40 years, but originally thought someone was playing a joke on her when she received the letter.

“My job is my passion and I can’t quite believe that I’ve been given this honour for doing it,” she said.

No-one has been knighted or made a dame for services to further education since Dr David Collins, the late former FE Commissioner, in the 2015 New Year’s Honours List.

Guns, machetes and iron bars: Why Unison wants college staff trained

A union has demanded college staff be trained in how to deal with weapons-related incidents, after workers from campuses across the country reported instances of violent gang attacks, stabbings, and guns being recovered.

Unison surveyed 845 support staff at FE and sixth form colleges, including canteen workers, learning support assistants and librarians, who reported how machetes, iron bars and hammers had either been found on students or used in pupil-on-pupil assaults, or in violent incidents against staff.

In one instance, hammer-wielding gang members chased a 17-year-old student through a college, and two support staff members had to shield him from his assailants until security and police arrived.

Another respondent said a student had died outside college after being stabbed, and another reported armed police had been called to campus after a student brought in a gun.

One in five respondents said they did not feel safe at work, and 90 per cent said they had received no training in dealing with teenagers who bring weapons into college.

Almost a quarter of respondents, 23 per cent, said they felt weapon-related crime was a problem where they work.

Unison’s head of education Jon Richards has called for colleges to provide “proper training” for weapons found on campus, for every member of staff.

“At the very least, we want all staff to have awareness and avoidance training,” Richards said. “Security staff will need more specific training.”

He added: “Employers must ensure offensive weapons are built into risk assessment and health and safety planning. They need to make clear to students and regularly remind them they should not have weapons.

“It’s essential colleges have transparent exclusion policies and staff have to be fully supported when any incident occurs.”

Richards said a joined-up response from police, youth support services and colleges is the “only way to turn youngsters away from crime”.

Last year, knife crime in England and Wales reached its highest level in eight years, with over 40,000 offences involving a knife or sharp blade in 2017/18, compared to 32,700 in 2010/11; according to a House of Commons briefing.

The Association of College’s senior policy manager Eddie Playfair said the number of violent incidents in and around colleges is low, but “even one is too many”.

He told FE Week that colleges had implemented a “range of security measures and educational responses”, which is part of the “wider duty to safeguard young people in schools and colleges and is often focused on helping students to identify risks and keep themselves safe beyond the college”.

But he warned the additional staff and training needed to support safety on campus “come at a cost and coincides with the college funding freeze, reductions in youth services and police personnel”.

Communities pay the real price when an FE college shuts down

Spectacular failures could be the cost for a more innovative FE sector, says Mick Fletcher. But is it a price worth paying?

Hadlow College is the first to experience the Department for Education’s new college bankruptcy regime, but we can be fairly certain that it won’t be the last.

After all, the government wouldn’t have bothered to develop the regime were it not convinced that others will find themselves in similar circumstances.

Nor is it an issue confined to FE; there is considerable speculation over which university is likely to be the first to fail financially, with unofficial lists of those most at risk circulating privately around the higher education sector.

Why has it come to this? Why in the world’s fifth largest economy are we contemplating the financial collapse of major public institutions for the first time? It simply cannot be an outbreak of incompetence among senior education managers, but a conscious political choice.

The systematic underfunding of the FE sector is only partly to blame. A “well run” institution in our present world can always shrink its offer to students to match its income.

It may call it “increasing efficiency”, but the truth is that it is only achieved by reducing choice and services, which is why part-time and adult learning have collapsed and full-time students receive a scandalously low number of taught hours.

The fact that some colleges will ‘crash and burn’ is seen as a price worth paying

Underfunding leaves less room for error or for too sentimental an approach to marginal provision – but ultimately most colleges will not go bankrupt, despite all being subject to the same funding regime.

The real reason for increased bankruptcy is simply that we have chosen to run our public services this way. The belief is that the spur of competition and the threat of bankruptcy serve to discipline public institutions and encourage them to innovate and focus relentlessly on efficiency and customer service. The fact that some colleges will “crash and burn” is seen as a price worth paying for a more dynamic and creative college sector. That’s how markets are said to work.

There is some truth to be found in this analysis. Colleges have certainly been innovative, although perhaps not to the extent that sector leaders like to claim. Constant assertions that colleges are “revising their business models” and “becoming more commercial” often feel more like ritual incantations than practical proposals.

Perhaps the most egregious example of this was the hype of the ill-fated Gazelle Group, which was founded in 2011 to promote enterprise in colleges only to collapse five years later in financial confusion.

Risky ventures such as investing in delivery overseas have been at least as common as genuine innovation, and in a few cases innovation has shaded into fraud.

Nevertheless most incorporated colleges have proved to be responsive and resilient institutions, investing creatively in new facilities, forming new alliances and in some cases, like Hadlow, going far beyond merely running classes.

Inevitably, and as Hadlow has shown, this freedom to innovate has led to some overreaching themselves and bankruptcy or bailout will be the choice. Ministers prefer the stern discipline of bankruptcy.

This works as a discipline in the private sector because it is a sanction on the owners; they lose control of their businesses and assets in favour of their creditors. There is no equivalent body of owners in the case of public services.

It is true that well-paid (and in some cases excessively well-paid) senior executives lose their jobs, but the real price is paid by communities that lose access to a public service when their local college closes. 

If a retail store such as BHS closes the shareholders lose, but we can shop elsewhere; if the only college in town closes, then it is the students that lose out. An underfunded FE sector may need to shrink, but the random consequences of managerial miscalculation are not a good basis for determining where.

What we can learn from the sad story of Hadlow College

Many of the recommendations in the long-awaited report from Philip Augar should be implemented now to protect the future of FE, says Sam Parrett

FE Week billed it the “biggest FE story of the decade” (May 23), but the news that Hadlow College had been put into administration is also one of the saddest the sector has seen for some time.

These have been dark times for further education recently, so the publication of the long-awaited report by Philip Augar could not have come along at a better moment.

The report is the first government-backed review into FE and higher education across all post-18 education. It shines a light on many important issues, making welcome recommendations for ministers to take forward to enable FE to thrive.

It’s clear that every college in the country is operating in tough financial conditions and it’s certainly not an easy time for any of us. Yet we all work hard to find ways round the challenges because we all know that FE matters, so the call for a re-balancing of spending between further and higher education should give us all reasons to cheer.

Augar’s recognition of the huge economic and social benefits that our sector delivers is also welcome. FE, after all, gives opportunities to people of all ages and from all walks of life to meet their learning and career goals. This in turn benefits social mobility and economic growth, so it’s encouraging to see Augar noting FE’s impact on wider society.

It’s also right that the government should not provide access to an unlimited pot of money to continuously bail out poorly run organisations. That said, the implications of an FE college being put into education administration are huge and go way behind the financial, as Hadlow painfully illustrates.

Hadlow has been part of many people’s lives: from farming open-days, to the setting up of a free school to meet local rural demand for primary places to “outdoor classrooms” in its extensive rural setting. Students and staff are spread across campuses in Kent and southeast London, so the insolvency decision will reverberate far and wide.

Take this huge resource away and a gaping hole in the landscape will appear. I am a local resident and the college matters to many in my community, including my neighbours and the families of my children’s friends.

The Augar report could not have come along at a better time

Hadlow needs to become a beacon of success once again for the local community; I have high hopes of such an outcome from the FE commissioner as the guardian of all that is good and is to be celebrated about the sector.

Sadly, there is a danger that the Hadlow debacle puts FE at risk of returning to a more shackled existence after a decade in which it has enjoyed a certain amount of freedom and flexibility. Could the era of increased independence for colleges be at an end?

One can only hope not because while mistakes have clearly been made, we know that FE matters and that, in most regards, it works. Don’t take my word for it; read the Augar report and its recommendations, which should be implemented swiftly and efficiently.

This includes conferring a protected title on colleges, providing FE with dedicated capital investment and an increase in core funding for 18-year-olds.

We must also hope for a more streamlined strategy to be developed across HE and FE, which will protect our sector in the longer term. Perhaps then, the true value of a college like Hadlow and many others like it, will be fully understood and preserved.

FE Week wins loan law battle

Victims of a long-running FE loans scandal are set to benefit from new legislation that gives the education secretary powers to clear their debt – representing a huge win for FE Week’s #SaveOurAdultEducation campaign.

From July 1, 2019 the government will be able to cancel all or part of an advanced learner loan for learners left in debt when their provider goes bust.

FE Week has revealed horror stories involving hundreds of students suffering from such circumstances since early 2017. Many of them, who were training to be, for example, carpenters or chefs, were left with debts amounting to thousands of pounds but no qualification when providers such as John Frank Training and Edudo suddenly went out of business.

After more than two years of stress and worry, this is great news

The government refused to write off their loans, even if the learners couldn’t move on to other providers.

It sparked the launch of #SaveOurAdultEducation which demanded justice for those affected and has now been hailed as a success by Robert Halfon, who was skills minister at the time and is now education select committee chair.

“I’m delighted that students with advanced learner loans will no longer need to be penalised for the actions of bust training providers when suitable alternatives are not available for them,” he said.

“This was something I pushed for as a minister and campaigned for alongside FE Week. I really welcome the hard work of Anne Milton and Damian Hinds in making it happen.”

After our campaign’s launch, the Student Loans Company deferred repayments for the affected learners, but as FE Week has previously reported, money has still been taken out of their accounts in repayments.

The provider central to the scandal was John Frank Training. The London-based firm went into liquidation on November 30, 2016, leaving no assets, despite recording a profit of £1.3 million in the first half of 2016. Around 500 learners were affected.

The situation resulted in the Education and Skills Funding Agency reviewing its audit framework for loans-only providers and changes were made, including the banning of subcontracting for these providers.

The ESFA did not report John Frank to the police because no fraud was identified as part of the original investigation.

Asim Shaheen was among the ex-learners at the provider. The trainee chef still had an outstanding debt of £8,000, plus interest, when the firm collapsed and could not find another provider with whom to complete his training.

After being told the news of incoming legislation to protect learners, Asim told FE Week: “After more than two years of stress and worry, this is great news and I now expect the government to cancel my loan in full at the first opportunity.”

A Department for Education spokesperson said: “In a very few cases, a small number of students with advanced learner loans are unable to complete their course as a result of provider failure. Our priority in these cases is to ensure those students have the opportunity to continue their studies elsewhere.

Anne Milton

“However, we recognise that this is not always possible. In recognition of this we have introduced new legislation to allow the Secretary of State to consider cancelling all or part of an advanced learner loan in such circumstances.”

Skills minister Anne Milton told FE Week: “At the heart of everything we do is the interests of students and learners.”

A spokesperson for the Student Loans Company confirmed repayments for learners affected by the liquidation of John Frank Training “have been deferred for a further year until April 2020”.

Shadow skills minister Gordon Marsden was a firm supporter of #SaveOurAdultEducation and hosted its launch event in Parliament. He also put in numerous written questions to pressure the DfE into action.

“It’s welcome news that finally two years on, the Secretary of State is taking steps to find a solution for the many learners affected by the collapse of their training providers – left with huge debts and no qualifications through no fault of their own,” he said.

“It’s disappointing that these learners have been left with the stress and worry of having these repayments hanging over them for so long, without adequate solutions coming forward from the department or the ESFA.

“That is why it is vital that Damian Hinds follows through urgently on this new legislation and writes off their debt to finally end the nightmare for these learners.”

PICTURED: Asim Shaheen confronts then skills minister Robert Halfon at the #SaveOurAdultEducation launch

Let’s develop a skills ecosystem, emphasising cooperation

As we contemplate the future of the skills system, let’s think in terms of devolution and localisation, says Ewart Keep

The Skills Commission is currently engaged in an inquiry into the future of the skills system. How do recent policy developments, such as the expansion of the apprenticeship scheme, the devolution of the Adult Education Budget (AEB) and the imminent introduction of T-levels, join up on the ground so that we build a system that responds to local needs and national  priorities?

The theme is a topical one, since combined authorities and some local enterprise partnerships (LEPs) are contemplating how to move away from competition and a fragmented marketplace of delivery towards local systems of education and training (E&T) that encourage collaboration, and perhaps elements of specialisation. For example, the North East LEP has set up an FE Careers Hub shared across all the colleges in its region.

Let’s think in terms of devolution and cooperation

Some are also starting to go one stage further and experiment with the notion of a skills ecosystem. The idea is to link up different policy areas such as economic development, business improvement and support, and efforts to improve job quality and in-work career progression for low-waged workers in order to find solutions to long-standing employment and skills problems.  An example would be efforts to develop new progression pathways for low-paid workers and support these through new packages of training. So what stands in the way of these developments?

The first and most obvious barrier is the flow of public funding, which sees resources largely following individual student choice via various ESFA tendering processes or via employer choice in the apprenticeship marketplace. This set-up stokes competition between providers to obtain students, a process which it is assumed will drive improved performance but also creates fragmented markets. Some combined authorities which are commissioning the devolved AEB are experimenting with a more cooperative and unified systems-led approach –  perhaps supported via some kind of block grant funding to providers.

Moreover, in some localities, FE and other E&T providers have chosen to work together and organise collectively rather than compete. The UK Innovation Corridor’s Regional Skills Concordat, for example, sees a group of colleges around Peterborough and Cambridgeshire working across local authority and LEP boundaries to map skill needs and build shared programmes that can aggregate skill demand and supply across institutions. They are generally acting despite of, not because of, nationally established incentives. 

A second set of problems is caused by the government’s tendency to draw up place-blind, one-size-fits-all national programmes without involving localities or providers in the design. The lack of input on the ground means that too often national priorities disrupt local priorities and relationships, yet ministers expect these solutions to be adopted whether localities want or need them. 

Changing the nature of dialogue with central government departments is a major objective for some of the combined authorities, LEPs, colleges and their representatives. They want to see national policy capable of being tailored to meet local circumstances and to have a more equal relationship with Whitehall, replacing the existing master-servant model. Given the culture of Whitehall and the constant turnover in civil servants as they move posts, this challenge is likely to take time.

A final problem is time: national and local politicians work on very short time-scales and want quick wins. There is the risk, for example, that central government may attempt to judge the results of the devolution of the AEB too swiftly, with the danger that transitional arrangements are given too little time to bear fruit. This danger is all the greater given that the devolved AEB is a relatively small pot of money that has to be stretched across a wide range of competing demands.

Devolution and localisation really matter.  Outside of city states, such as Singapore, there are almost no successful national E&T systems that do not incorporate a greater degree of local accountability, innovation and control than England.  We need to learn to make localism work for everyone.